Consumer’s obligation to utility discharged when payment made to collection agency -PUC

The Public Utilities Commission (PUC) yesterday said a consumer’s obligation to a utility company ends when a bill payment is made to a collection agency.

While it has become “common practice for utility companies to enter into agreements with collection agencies to collect consumer tariffs on their behalf,” over time, the PSC said it has been receiving complaints from consumers who allege that they have had their services disconnected even though they have settled their accounts in full via one of the agencies.

This often forces consumers to settle again with the utility and pay the reconnection fee if